[House Hearing, 111 Congress] [From the U.S. Government Publishing Office] THE H-2B GUESTWORKER PROGRAM AND IMPROVING THE DEPARTMENT OF LABOR'S ENFORCEMENT OF THE RIGHTS OF GUESTWORKERS ======================================================================= HEARING before the SUBCOMMITTEE ON DOMESTIC POLICY of the COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM HOUSE OF REPRESENTATIVES ONE HUNDRED ELEVENTH CONGRESS FIRST SESSION __________ APRIL 23, 2009 __________ Serial No. 111-8 __________ Printed for the use of the Committee on Oversight and Government Reform Available via the World Wide Web: http://www.gpoaccess.gov/congress/ index.html http://www.oversight.house.gov THE H-2B GUESTWORKER PROGRAM AND IMPROVING THE DEPARTMENT OF LABOR'S ENFORCEMENT OF THE RIGHTS OF GUESTWORKERS THE H-2B GUESTWORKER PROGRAM AND IMPROVING THE DEPARTMENT OF LABOR'S ENFORCEMENT OF THE RIGHTS OF GUESTWORKERS ======================================================================= HEARING before the SUBCOMMITTEE ON DOMESTIC POLICY of the COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM HOUSE OF REPRESENTATIVES ONE HUNDRED ELEVENTH CONGRESS FIRST SESSION __________ APRIL 23, 2009 __________ Serial No. 111-8 __________ Printed for the use of the Committee on Oversight and Government Reform Available via the World Wide Web: http://www.gpoaccess.gov/congress/ index.html http://www.oversight.house.gov U.S. GOVERNMENT PRINTING OFFICE 51-324 WASHINGTON : 2009 ----------------------------------------------------------------------- For Sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; (202) 512�091800 Fax: (202) 512�092104 Mail: Stop IDCC, Washington, DC 20402�090001 COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM EDOLPHUS TOWNS, New York, Chairman PAUL E. KANJORSKI, Pennsylvania DARRELL E. ISSA, California CAROLYN B. MALONEY, New York DAN BURTON, Indiana ELIJAH E. CUMMINGS, Maryland JOHN M. McHUGH, New York DENNIS J. KUCINICH, Ohio JOHN L. MICA, Florida JOHN F. TIERNEY, Massachusetts MARK E. SOUDER, Indiana WM. LACY CLAY, Missouri TODD RUSSELL PLATTS, Pennsylvania DIANE E. WATSON, California JOHN J. DUNCAN, Jr., Tennessee STEPHEN F. LYNCH, Massachusetts MICHAEL R. TURNER, Ohio JIM COOPER, Tennessee LYNN A. WESTMORELAND, Georgia GERRY E. CONNOLLY, Virginia PATRICK T. McHENRY, North Carolina ELEANOR HOLMES NORTON, District of BRIAN P. BILBRAY, California Columbia JIM JORDAN, Ohio PATRICK J. KENNEDY, Rhode Island JEFF FLAKE, Arizona DANNY K. DAVIS, Illinois JEFF FORTENBERRY, Nebraska CHRIS VAN HOLLEN, Maryland JASON CHAFFETZ, Utah HENRY CUELLAR, Texas AARON SCHOCK, Illinois PAUL W. HODES, New Hampshire CHRISTOPHER S. MURPHY, Connecticut PETER WELCH, Vermont BILL FOSTER, Illinois JACKIE SPEIER, California STEVE DRIEHAUS, Ohio ------ ------ ------ ------ ------ ------ Ron Stroman, Staff Director Michael McCarthy, Deputy Staff Director Carla Hultberg, Chief Clerk Larry Brady, Minority Staff Director Subcommittee on Domestic Policy DENNIS J. KUCINICH, Ohio, Chairman ELIJAH E. CUMMINGS, Maryland JIM JORDAN, Ohio JOHN F. TIERNEY, Massachusetts MARK E. SOUDER, Indiana DIANE E. WATSON, California DAN BURTON, Indiana JIM COOPER, Tennessee MICHAEL R. TURNER, Ohio PATRICK J. KENNEDY, Rhode Island JEFF FORTENBERRY, Nebraska PETER WELCH, Vermont AARON SCHOCK, Illinois BILL FOSTER, Illinois Jaron R. Bourke, Staff Director C O N T E N T S ---------- Page Hearing held on April 23, 2009................................... 1 Statement of: Raju, Aby Karickathara, former H-2B guestworker from India for Signal International LLC, member of the Alliance of Guestworkers for Dignity; Miguel Angel Jovel Lopez, former H-2B guestworker from El Salvador for Cumberland Environmental Resources, Co., member of the Alliance of Guestworkers for Dignity; and Daniel Castellanos-Contreras, former H-2B guestworker from Peru for Decatur Hotels LLC, organizer and founding member of the Alliance of Guestworkers for Dignity................................... 20 Castellanos-Contreras, Daniel............................ 30 Lopez, Miguel Angel Jovel................................ 26 Raju, Aby Karickathara................................... 20 Soni, Saket, executive director, New Orleans Workers' Center for Racial Justice; Mary Bauer, director, Immigrant Justice Project, Southern Poverty Law Center; Catherine Ruckelshaus, legal co-director, National Employment Law Project; and Professor Patrick A. McLaughlin, Ph.D., Mercatus Center at George Mason University................. 42 Bauer, Mary.............................................. 58 McLaughlin, Patrick A.................................... 366 Ruckelshaus, Catherine................................... 351 Soni, Saket.............................................. 42 Letters, statements, etc., submitted for the record by: Bauer, Mary, director, Immigrant Justice Project, Southern Poverty Law Center, prepared statement of.................. 60 Castellanos-Contreras, Daniel, former H-2B guestworker from Peru for Decatur Hotels LLC, organizer and founding member of the Alliance of Guestworkers for Dignity, prepared statement of............................................... 31 Cummings, Hon. Elijah E., a Representative in Congress from the State of Maryland, prepared statement of............... 381 Kucinich, Hon. Dennis J., a Representative in Congress from the State of Ohio, prepared statement of................... 4 Lopez, Miguel Angel Jovel, former H-2B guestworker from El Salvador for Cumberland Environmental Resources, Co., member of the Alliance of Guestworkers for Dignity, prepared statement of...................................... 27 McLaughlin, Professor Patrick A., Ph.D., Mercatus Center at George Mason University, prepared statement of............. 368 Raju, Aby Karickathara, former H-2B guestworker from India for Signal International LLC, member of the Alliance of Guestworkers for Dignity, prepared statement of............ 22 Ruckelshaus, Catherine, legal co-director, National Employment Law Project, prepared statement of.............. 354 Soni, Saket, executive director, New Orleans Workers' Center for Racial Justice, prepared statement of.................. 45 Watson, Hon. Diane E., a Representative in Congress from the State of California, prepared statement of................. 14 THE H-2B GUESTWORKER PROGRAM AND IMPROVING THE DEPARTMENT OF LABOR'S ENFORCEMENT OF THE RIGHTS OF GUESTWORKERS ---------- THURSDAY, APRIL 23, 2009 House of Representatives, Subcommittee on Domestic Policy, Committee on Oversight and Government Reform, Washington, DC. The subcommittee met, pursuant to notice, at 10:20 a.m., in room 2154, Rayburn House Office Building, Hon. Dennis J. Kucinich (chairman of the subcommittee) presiding. Present: Representatives Kucinich, Jordan, Cummings, Tierney, Watson, and Foster. Staff present: Jaron R. Bourke, staff director; Claire Coleman, counsel; Jean Gosa, clerk; Charisma Williams, staff assistant; Leneal Scott, information systems manager; John Cuaderes, minority deputy staff director; Jennifer Safavian, minority chief counsel for oversight and investigations; Dan Blankenburg, minority director of outreach and senior advisor; Adam Fromm, minority chief clerk and Member liaison; Seamus Kraft, minority deputy press secretary; Christopher Hixon, minority senior counsel; and Marvin Kaplan and Mitchell Kominsky, minority counsels. Mr. Kucinich. The subcommittee will come to order. Good morning. Buenos dias. Namaste. I want to thank the witnesses for being here. I am Congressman Dennis Kucinich, chairman of the Domestic Policy Subcommittee of the Oversight and Government Reform Committee. I am here with the ranking member of the committee, Mr. Jordan of Ohio. The subcommittee's hearing is entitled, ``The H-2B Guestworker Program and Improving the Department of Labor's Enforcement of the Rights of Guestworkers.'' We have a panel of witnesses who are prepared to testify. Today's hearing is going to go into issues of enforcement, particularly with respect to labor rights for non-agricultural guestworkers who come to the United States lawfully through the H-2B visa program. Now, without objection, the Chair and ranking minority member will have 5 minutes to make opening statements, followed by opening statements not to exceed 3 minutes by any other Member who seeks recognition. Without objection, Members and witnesses may have 5 legislative days to submit a written statement or extraneous materials for the record. This hearing, ``The H-2B Guestworker Program and Improving the Department of Labor's Enforcement of the Rights of Guestworkers,'' continues an investigation that this subcommittee began in 2007, evaluating the adequacy of labor law enforcement in New Orleans during period following Hurricane Katrina. During the course of our investigation and the two hearings we held on labor law enforcement in New Orleans, the subcommittee discovered that H-2B visa holders, who are non- agricultural guestworkers, have been exposed to egregious forms of abuse by sponsoring employers who brought them to the Gulf Coast to assist with the cleanup. These abuses include wage theft, poor living conditions, and threatening actions which amounted to human trafficking. Unfortunately, it is clear that the abuse of guestworkers continues today in New Orleans and across the country. Today we will hear testimony from three guestworkers, all of whom worked in different industries that the Department of Labor allows to hire foreign guestworkers. Take, for example, the case of one of our witnesses, Aby Karickathara Raju, who came to the United States from India to work for Signal International LLC at the Gulf Coast Shipyard. Lured by false promises of permanent U.S. residency, Mr. Raju, along with hundreds of other Indian guestworkers, paid tens of thousands of dollars to obtain this job with Signal, only to have their passports confiscated and find themselves forced into involuntary servitude, working for substandard wages and living in overcrowded, guarded labor camps. Unfortunately, these cases of worker abuse have gone largely unprosecuted by the Federal cop on the workplace beat. The Department of Labor did virtually nothing to protect these workers. The explanation has two components: First, there are very limited legal protections in place for H-2B workers. Unlike H-2A guestworkers, H-2B guestworkers do not have access to legal services, do not have protection from retaliation or payment of transportation to the United States. Second, the Department of Labor has utterly failed to enforce the rights of H-2B guestworkers. The Department of Labor has interpreted the Immigration and Nationality Act and its implementing regulations to preclude Department of Labor authority to enforce the conditions of H-2B visa petitions in favor of Homeland Security's enforcement authority. At our hearing in June 2007, when we questioned former Department of Labor officials about why the abuse of guestworkers in New Orleans had gone unchecked, we were told to ask the Department of Homeland Security. While that is debatable, Department of Labor itself has acknowledged it still maintains authority to oversee wage and hour laws which apply to guestworkers. Based on this subcommittee's scrutiny, advocacy by labor groups, as well as recent reports by the GAO, however, it is clear that the Department of Labor's Wage and Hour Division has failed to do even that. There is a development in the law that requires mentioning as well. The previous administration passed a midnight regulation that weakens, instead of strengthens, protections for H-2B visa guestworkers. The new regulation is also extremely harmful to U.S. workers because it makes it easier for employers to bring in guestworkers for longer periods of time, increasing the risk that U.S. workers will be overlooked for a cheaper, less regulated labor source. Congressman Miller, chairman of the Committee on Education and Labor, and Congresswoman Zoe Lofgren, chairman of the Immigration Subcommittee of Judiciary, have been working tirelessly on and will soon be introducing a new bill that will increase protection for H-2B guestworkers and U.S. workers. This subcommittee supports and applauds those efforts. The current weak regulatory framework for the H-2B visa program cannot be allowed to stand. The one silver lining in the previous administration's midnight regulation is the delegation of authority by DHS to the Department of Labor to establish an enforcement procedure to investigate compliance with H-2B requirements and to remedy violations uncovered as a result by imposing fines or debarment. Many questions remain about the nature of that delegation and how DOL's oversight and enforcement of the H-2B visa will be carried out. But the acknowledgment by both Homeland Security and Labor that Labor has clear authority to enforce the rights of H-2B guestworkers give this subcommittee hope that the Department of Labor will finally commit to investigating and prosecuting H-2B sponsoring employers who are abusing the program and exploiting workers. We had hoped to hear from Labor Secretary Hilda Solis today on the Department of Labor's plans to improve such oversight, but we understand that the Department is still in the policy development stage, and the Department asked that it be allowed to testify at a later date once the Senate has confirmed the Assistant Secretary for the Employment Standards Administration and an Administrator of the Wage and Hour Division. We are hopeful that the Department will consider the testimony presented in today's hearing as they draw conclusions about what needs to be done with the H-2B visa program. This subcommittee certainly intends to see that Secretary Solis's introductory remarks to the Department of Labor, that ``there's a new sheriff in town,'' will benefit the lives and working conditions of guestworkers. Today, I hope we can better understand the problems faced by guestworkers and how the Department of Labor, in the past, has failed them. We are lucky to have a very strong panel of labor advocates that can shed light on how to create a stronger Department of Labor that can fulfill its mission of protecting the rights of all workers. [The prepared statement of Hon. Dennis J. Kucinich follows:] [GRAPHIC] [TIFF OMITTED] T1324.001 [GRAPHIC] [TIFF OMITTED] T1324.002 [GRAPHIC] [TIFF OMITTED] T1324.003 [GRAPHIC] [TIFF OMITTED] T1324.004 [GRAPHIC] [TIFF OMITTED] T1324.005 [GRAPHIC] [TIFF OMITTED] T1324.006 Mr. Kucinich. I want to thank you again for being here. Thank my colleagues who are present, and now turn to the ranking member of this subcommittee, Mr. Jordan of Ohio. You may proceed. Mr. Jordan. Thank you, Mr. Chairman. I want to thank you for putting this hearing together and for the great working relationship I have with you, a fellow Ohioan. I thank our panel, our first panel and our second panel as well. This hearing provides an excellent opportunity to discuss and debate the existing H-2B guestworker program and the newly delegated enforcement of H-2B violations to the Department of Labor. This is an important matter and I look forward to having a productive discussion on the many issues surrounding the present H-2B visa program and their economic implications. We all agree that enforcement of the law and protection of guestworkers is critical. Many organizations and individuals, including some that we will hear from later, have advocated for substantial reforms to the H-2B guestworker program. Indeed, some of these proposed reforms might be helpful. But let's also keep in mind today that implementing many of the suggested policy changes may require Congress to entirely overhaul the guestworker program. As a result, our discussion needs to also examine how reforming the current program will affect the economy and U.S. workers. Being a Representative from Ohio, a State struggling with economic hardship in the housing crisis, this is an issue that hits close to home. In 1986, Congress passed the Immigration Reform and Control Act. The act contained major revisions of the temporary worker H-2 program. Specifically, it divided the H-2 program into two separate visa categories, the H-2A program for temporary agriculture workers and the new H-2B was created for temporary non-agricultural workers. Today's hearing will focus on the existing H-2B program. On January 18, 2009, the Department of Homeland Security delegated its enforcement authority of H-2B violations to the Labor Department. I would like to emphasize that prior to this delegation H-2B violations went largely unenforced by DHS. Without a doubt, the failure to enforce existing laws is unacceptable. Prior to January 18, 2009, Labor's enforcement of H-2B wages was limited to laws specifically delegated to the Department of Labor, such as the Fair Labor Standards Act. However, following the delegation of enforcement by DHS, the Department of Labor immediately promulgated regulations that would enforce the H-2B program. As it now stands, an H-2B employer will have to make certain guarantees to the Department of Labor regarding their hiring of H-2B workers. Most relevant to today's hearing, it is important for this subcommittee to take into consideration that an H-2B employer must attest and demonstrate that qualified persons in the United States are not available and that the terms of employment will not adversely affect the wages and working conditions of the workers in the United States similarly employed. These employer attestation requirements for the H-2B application provide a foundation to prevent employer violations, while at the same time encouraging employers to use U.S. workers. Now that the DHS has delegated to Department of Labor enforcement authority for the H-2B violations, the Department of Labor has supplemented U.S. worker protection with new mechanisms to ensure compliance with H-2B filing and added attestation requirements, including penalties, debarment, supervised prefiling recruitment, and post-adjudication audits. In short, the Department of Labor now has the authority and capability to enforce the H-2B violations. Unfortunately, the change in administration and the slow appointment process has left the Department of Labor with a limited management staff, and no one who is capable of testifying on the implementation of the H-2B program is present today. No accurate assessment of the H-2B regulations can be made without a representative from the Department of Labor. But it appears that the Department of Labor has failed to implement any of the new H-2B regulations laid out above. I hope to eventually hear, as the chairman indicated in his opening statement, the administration's perspective on the H-2B program before this subcommittee. In fact, I think the words the chairman used were the Department of Labor has utterly failed in many of the things we are talking about today. The Department of Labor should be given a chance to enforce the regulations promulgated on January 18, 2009. To be sure, once the existing regulations are enforced, Congress and the Department of Labor will be in a better position to assess the H-2B visa program. However, before Congress and the Department of Labor can seriously consider future changes to the H-2B program, the broader economic implications of the guestworker program must be thoroughly examined and discussed. Thank you, Mr. Chairman, for holding this important hearing today. These issues not only affect our home State of Ohio, but also the entire United States, and I look forward to hearing from our witnesses. Mr. Kucinich. I thank the gentleman. I just want to say that I appreciate the chance to work with you. And the one good thing about this Domestic Policy Subcommittee, as with all subcommittees of Government Oversight, is that--and this doesn't relate specifically to the Department of Labor, but to any Government agency or department--that we generally get their cooperation, and that is nice. That has nothing to do with the fact that we have subpoena power, by the way. Mr. Foster, the Chair recognizes you for 3 minutes. Mr. Foster. Thank you, Mr. Chairman. While today's hearing will no doubt have wider implications on labor policy and the economy, this is also an opportunity to further understand and address the administrative shortcomings within the Labor Department in this area. In a previous hearing, this subcommittee has investigated labor law enforcement and protection of guestworkers by the Department of Labor in the aftermath of Hurricanes Katrina and Rita, and has uncovered cases of abuse by sponsoring employers during the Gulf Coast cleanup. Today, however, we may gain a clearer view of nationwide patterns of abuse and fraud within our guestworker programs and begin to devise rigorous reporting and accountability measures to ensure the Department of Labor acts swiftly to uncover abuse and enforce existing labor laws. In a recent report, the GAO noted that the Labor Department's Wage and Hour Division, the body charged with administering laws like the Fair Labor Standards Act and the Migrant and Seasonal Agricultural Worker Protection Act, insufficiently responds to reports of abuse and fails to consistently enforce the terms of guestworker labor certifications which designate wages and work schedules. Many of today's witnesses will correctly point out the vulnerability of guestworkers who have no leverage to bargain for higher wages or better working conditions. The downward pressure on wages that results from this lack of enforcement is not only exploitative for the guestworker, but also means that jobs become increasingly undesirable for U.S. workers. I look forward to hearing from each of our witnesses on the ways the bureaucracy can be made more responsive and accountable, including any proposals for publicizing patterns of abuse and fraud. Thank you and I yield back. Mr. Kucinich. Thank you very much, Mr. Foster. Does Mr. Tierney have an opening statement? Mr. Tierney. No, I don't, Mr. Chairman, other than thank you for having this hearing. As always, you are looking out for people's rights, and we appreciate that. Mr. Kucinich. Thank you for being on this subcommittee. Ms. Watson, do you have an opening statement? Ms. Watson. I do. Mr. Kucinich. The Chair recognizes the distinguished lady from California, Ambassador Watson. Ms. Watson. I also want to thank the chairman for holding today's important hearing examining the state of H-2B non- agricultural guestworker visa program. I sincerely hope that today's proceedings will reveal the weaknesses associated with the program and the steps that can be taken to strengthen the rights and protections for H-2B visa holders. Previous hearings and investigations conducted by this subcommittee revealed serious abuse by sponsoring employers in the Gulf Coast during the cleanup after Hurricane Katrina. Unfortunately, these practices were not isolated incidents, but representative of similar abuses which occur across the country due to the uneven power dynamic between guestworkers and their employers and an ineffective system within the Department of Labor to regulate employers who violate labor laws. Due to the loophole in H-2B regulations and the assertion that enforcement of labor laws affecting these guestworkers was outside the authority of the Department of Labor, this program has operated with essentially no enforcement mechanism or penalties for employers who violate their guestworkers' rights. A new Department of Labor regulation on December 19, 2008 solidified the notion that enforcement authority was within the jurisdiction of the Department of Labor. But while this was a positive step, its practical application has proven to be unevenly flawed. According to a March 2009 report by the GAO, the Department of Labor's Wage and Hour Division processes for complaint intake, conciliation, and investigation are so ineffectual they actually discourage workers from making complaints. Healthy immigration and labor policy needs to be based upon the premise of fair wages for honest work in a safe environment. Employers who rely upon temporary foreign workers must operate under this principle with the knowledge if they are in violation, they will be investigated and penalized by the Department of Labor. With the advent of a new administration and a new Secretary of Labor, this hearing occurs at an opportune moment to assess current practices and to reveal the actions needed to protect the rights of all guestworkers. I would like to thank all of today's panelists for participating. Sharing your experiences will help us ensure future guestworkers in the H-2B visa program are empowered with the proper rights and the necessary infrastructure to protect you. With that, Mr. Chairman, I yield back the remainder of my time, and, again, thank you. [The prepared statement of Hon. Diane E. Watson follows:] [GRAPHIC] [TIFF OMITTED] T1324.007 [GRAPHIC] [TIFF OMITTED] T1324.008 [GRAPHIC] [TIFF OMITTED] T1324.009 [GRAPHIC] [TIFF OMITTED] T1324.010 [GRAPHIC] [TIFF OMITTED] T1324.011 Mr. Kucinich. I thank the gentlelady. If there are no additional opening statements from members of the subcommittee, the subcommittee will now receive testimony from the witnesses. I want to start by introducing our first panel. Mr. Aby Karickathara Raju is a former H-2B guestworker for Signal International LLC. Mr. Raju is a structural welder from Kerala, India. He is a member of the Alliance of Guestworkers for Dignity. Mr. Miguel Angel Jovel Lopez is a former H-2B guestworker for Cumberland Environmental Resources. He came to the United States from El Salvador and works as a construction laborer. He is also a member of the Alliance of Guestworkers for Dignity. Mr. Daniel Castellanos-Contreras is a former H-2B guestworker for Decatur Hotels LLC. He came to the United States from Peru, where he is a licensed engineer and formerly owned a small business. He is an organizer and founding member of the Alliance of Guestworkers for Dignity. I want to thank you for appearing before this subcommittee today. Now, we also have two interpreters, and I would like the interpreters, if you would please identify yourself, your name, where you are from, and if the court stenographer can also take that information and members of the committee can be aware of it. If you would start with Mr. Raju's interpreter, your name. Ms. Jacob. My name is Bincy Jacob. I work with the New Orleans Workers' for Racial Justice. Mr. Kucinich. And would you spell your last name? Ms. Jacob. Sure. It is J-A-C-O-B. Mr. Kucinich. OK. Yes, sir. Mr. Horwitz. My name is Jacob Horwitz. I am also with the New Orleans Workers' for Racial Justice. And that is H-O-R-W-I- T-Z. Thanks for having us. Mr. Kucinich. OK. Now, it is the policy of this subcommittee to swear in all witnesses before they testify. Since we have individuals who are interpreting, we are going to ask that you be sworn as well. So I would ask that all witnesses please rise and please raise your right hands. [Witnesses sworn.] Mr. Kucinich. OK, let the record reflect that each witness answered in the affirmative. I would ask the witnesses now to give a brief summary of their testimony and to try to keep their summary under 5 minutes in duration. Since we are working with interpreters, we may have to give a little bit of play to that, but I want you to keep in mind that your written statement will be included in the hearing record. Thank you. Do you have any questions about that, by the way? Do you have any questions about this procedure? Ms. Jacob. No. Mr. Kucinich. No? OK. All set? OK, let's proceed, then, with Mr. Raju. STATEMENTS OF ABY KARICKATHARA RAJU, FORMER H-2B GUESTWORKER FROM INDIA FOR SIGNAL INTERNATIONAL LLC, MEMBER OF THE ALLIANCE OF GUESTWORKERS FOR DIGNITY; MIGUEL ANGEL JOVEL LOPEZ, FORMER H-2B GUESTWORKER FROM EL SALVADOR FOR CUMBERLAND ENVIRONMENTAL RESOURCES, CO., MEMBER OF THE ALLIANCE OF GUESTWORKERS FOR DIGNITY; AND DANIEL CASTELLANOS-CONTRERAS, FORMER H-2B GUESTWORKER FROM PERU FOR DECATUR HOTELS LLC, ORGANIZER AND FOUNDING MEMBER OF THE ALLIANCE OF GUESTWORKERS FOR DIGNITY STATEMENT OF ABY KARICKATHARA RAJU [The following testimony was delivered through an interpreter.] Mr. Raju. Thank you. Mr. Kucinich. And please speak into the mic as best you can, and the interpreter can go back and forth. Go ahead. Mr. Raju. My name is Aby Karickathara Raju. Mr. Kucinich. We are going to have to ask you to bring that mic a little bit closer to both of you and kind of move it back and forth. Go ahead. Mr. Raju. I came to this country as a guestworker on an H- 2B visa from India. I am here to share with you the experiences of what I saw and I heard and I felt in my life as a guestworker in this country. In 2008, as a result of the company and the recruiter's labor trafficking, over 200 of us escaped the labor camps and found refuge. Signal and the recruiters lied to us and gave us false promises of H-2B visas with permanent resident visas, and collected up to $20,000 from each of us. Not only that, when we came here, we had to live in very poor conditions and work under very poor conditions. And for those of us who spoke up against it, they tried to forcibly deport and threaten then. They used the security guards to hold back the pastor who came to help us to have a prayer meeting. These are the reasons why we had to raise our voice and file a lawsuit. Unfortunately, we have yet to receive justice from any government agency. Advocates told us that there are laws in this country to protect workers like us, but we have not received any justice. We really believe that you in Congress created these laws to protect us, but the truth is we haven't received any of the benefits of these laws. Since coming to this country, I had never heard of the Department of Labor. Not a single person from this Department came to where we lived or to our work site and conducted an inspection. When we complained about the poor conditions in the camp, the company told us this camp is under U.S. laws. When the company used armed guards to lock up workers and tried to forcibly deport them, the company told us that we are doing this because Immigration told us. When we filed a lawsuit, instead of the Department of Justice working with the Department of Labor to help, Department of Justice worked with Immigration, and after that we had surveillance over us; and we are still awaiting the decision of foreign agency. If a foreign worker comes to this country, the Department of Labor should directly go and do an inspection. Before the work even starts, they have to ensure that the living conditions and working conditions are good enough for them to stay there. When a worker comes forward and makes a complaint about what they experienced, the Department of Labor should work with other agencies to see what the investigation should be and to move forward correctly. Not only that, for workers who come forward, the Department of Labor can support them in finding another employer so that they can be safe in this country. I truly believe that it is only with these steps that the Department of Labor can help stop trafficking in this country. Thank you. [The prepared statement of Mr. Raju follows:] [GRAPHIC] [TIFF OMITTED] T1324.012 [GRAPHIC] [TIFF OMITTED] T1324.013 [GRAPHIC] [TIFF OMITTED] T1324.014 [GRAPHIC] [TIFF OMITTED] T1324.015 Mr. Kucinich. Mr. Lopez, you may proceed. STATEMENT OF MIGUEL ANGEL JOVEL LOPEZ [The following testimony was delivered through an interpreter.] Mr. Lopez. My name is Miguel Angel. I am from El Salvador and I have come here to share and expose my testimony, what I have been living and experiencing in the United States. In order for me to come to this country from El Salvador on an H-2B visa, I had to indebt myself and my family $4,000, and I still haven't gotten out of this debt. I am the head of my household. I have a young daughter, a wife, and four younger brothers that depend on me, and since I have come here I haven't satisfied even one of my hopes of coming to the United States. I was promised many things in my home country, but, when I arrived, I realized that they were completely false. Instead of working in demolition, which is what I was promised, I was put to work doing asbestos cleanup. The company that I was brought to work for rented us out to other contractors, including on government work sites, military bases, hospitals, and universities, and they paid us a small percentage of what the work was really worth. Seeing all these problems, my coworkers and I began to organize. We went on strike and were fired, and then we put a complaint in with the Department of Labor in February. We only wanted to have a meeting with our boss to talk about the requirements of the contract, but our boss never accepted that meeting with us. So it has been 2 months since we reported this abuse to the Department of Labor, and still we have heard no response at all, and we want the Department of Labor to really take this case seriously and investigate. As a representative of this group of the Alliance, I ask that the Department of Labor investigate these companies, that they make sure that people who are coming to these companies are treated in the way that they are supposed to be treated under the law. I also ask that the Department of Labor offer immigration protection for workers who report companies, so that they are not afraid to come forward if they are in a situation where their rights are being taken advantage of. And we ask for ourselves and everyone else that the Department of Labor doesn't take so long to give a response, because we cannot wait. Thank you for the opportunity to give my testimony. I hope that this results in justice and we demand that the Department of Labor really takes this case seriously and investigates it so that there is justice for us and for our workers. Thank you. [The prepared statement of Mr. Lopez follows:] [GRAPHIC] [TIFF OMITTED] T1324.016 [GRAPHIC] [TIFF OMITTED] T1324.017 [GRAPHIC] [TIFF OMITTED] T1324.018 Mr. Kucinich. Gracias, Senor Lopez. Senor Castellanos-Contreras. STATEMENT OF DANIEL CASTELLANOS-CONTRERAS [The following testimony was delivered through an interpreter.] Mr. Castellanos-Contreras. Good morning. My name is Daniel Castellanos. I am from Peru and I come here representing many guestworkers that are members of the Alliance. Four thousand dollars, that is what I paid to come to the United States, leaving my family extremely in debt. In Peru, $4,000 is what I would make during a whole year of hard work, and an amount of money that only rich people have on hand. As an organizer with the Alliance, I have known hundreds and hundreds of workers, all of whom have suffered and been oppressed by the huge debt that they have, all in order to come and work in this country, the United States, workers that sold their houses, mortgaged land, and sold personal family items in order to come. The majority of guestworkers continue to be in debt because their visa terms are very short and they have to pay for very expensive extensions, which trap them in this cycle of debt. For this reason, the debt is so important in the relation between the boss and the worker. With the current regulations, the way debt plays out is a clear violation of the minimum wage. Also, the debt is what keeps workers silent, because, if you protest, you could be fired, deported, and never be able to pay that money back. So we believe that the Department of Labor should really take a clear stance on the law around H-2B workers and publish the position that the fees and the money that workers pay to come to this country are the responsibility and are for the benefit of bosses that bring them to this country, and that they should reimburse this money to workers during the first 15 days of their employment. Also, the Department of Labor should take much stronger actions in order to enforce this law so that they can fully eliminate the debt servitude that we live daily. The Department of Labor should also prioritize the immigration protection of workers that are in labor disputes with their employers, because, without having protection, we are completely vulnerable to retaliation by employers. We of the Alliance of Guestworkers for Dignity believe that we are the experts in the H-2B visa because we live the experience daily, so we demand that we be consulted when there is improvements to the law. We know that there are many interests by companies to expand the number of visas, but if the laws don't change so that the workers can come with more human conditions, then this is going to just go from bad to worse. Thank you very much. [The prepared statement of Mr. Castellanos-Contreras follows:] [GRAPHIC] [TIFF OMITTED] T1324.019 [GRAPHIC] [TIFF OMITTED] T1324.020 [GRAPHIC] [TIFF OMITTED] T1324.021 [GRAPHIC] [TIFF OMITTED] T1324.022 [GRAPHIC] [TIFF OMITTED] T1324.023 [GRAPHIC] [TIFF OMITTED] T1324.024 [GRAPHIC] [TIFF OMITTED] T1324.025 Mr. Kucinich. I want to thank the witnesses. We are now going to proceed to questions from the committee. I just would like the staff to take note of this matter. You know, there are a number of constitutional questions that are being raised by this testimony, including, I think, one that could present an unusual 13th amendment case, which amendment prohibits slavery and involuntary servitude, because there is a condition that we are talking about here that really reflects being coerced into a form of involuntary servitude, and I would like staff to take note of that as a possible course of action that this committee may want to pursue. I would like to begin my questions with Mr. Raju. I understand that the Department of Labor failed to investigate even the most basic wage violation claims. Has the Department of Labor, to your knowledge, done anything to prosecute wage claims since the filing of your lawsuit? Mr. Raju. From even coming to the camp in the beginning until this day, I don't believe the Department of Labor has been involved in any part of our---- Mr. Kucinich. No action whatsoever that you are aware of? Mr. Raju. I am not aware of anything that they have done. Mr. Kucinich. OK, staff is also going to have to take note of that testimony. I want to assure you, Mr. Raju, and your fellow plaintiffs that this subcommittee is going to continue to advocate that the Department of Labor and the Department of Justice adequately investigate these allegations of trafficking of guestworkers. Now, with respect to Senor Lopez, I am going to be instructing my staff to contact the Department of Labor and inquire about the status of the complaint that you made in February to the Office of Inspector General regarding the abuse that you received by your H-2B employer. It may take longer than we would all like for this new administration to make changes, but we are going to hold them to their promise to protect workers' rights. What is the single-most important protection you feel would help ensure guestworkers do not experience the difficulties that you have had? What kind of protection do you think would be necessary? Mr. Lopez. That would be the fact that I belong to one boss, and the change would be that we would have the freedom to work for other companies, not just the boss that brought us here. Mr. Kucinich. Thank you very much. To Mr. Castellanos- Contreras, as an organizer for Alliance of Guestworkers for Dignity, have you ever met with the Department of Labor about improving its outreach and enforcement of the rights of guestworkers? Mr. Castellanos-Contreras. As an organizer, we have gone to the Department of Labor many times, trying to bring cases to them in different States, but they always deny taking action on these cases, saying that it is not their responsibility or jurisdiction. They have told us that it is the responsibility of the State Department because we are immigrants, not nationals, even though, reading the law, I know that, as temporary workers, we have the same labor rights as any American. Mr. Kucinich. I thank you. I want to ask one final question, and that is did the Department of Labor ever investigate charges that Decatur violated the Fair Labor Standards Act by retaliating against you? Mr. Castellanos-Contreras. No. Mr. Kucinich. Did you have any contact with the Department of Labor about that case? Mr. Castellanos-Contreras. We did have some contact, but the Department of Labor never---- Mr. Kucinich. Nothing was done. OK, thank you for your testimony. We are going to now move to questions from the ranking member, Mr. Jordan. You may proceed. Mr. Jordan. Thank you, Mr. Chairman. I want to thank all of you for your testimony. Let me just ask a couple basics, first. How long have each of you been in the United States? Mr. Castellanos-Contreras. We have been invited to discuss improvements to the laws of the H-2B program, and as a policy of the Alliance, we don't really think that is an appropriate question. Mr. Jordan. OK. Well, let me ask you this. Have you or would you reapply for the H-2B visa? Mr. Castellanos-Contreras. As an organizer, I have seen guestworkers that reapply many times to come and work here, because in the very short time that they are given the visa for, they don't have the ability to recuperate the money that they paid to come. So it creates a vicious circle where people are forced to continue to pay to come back to the country. Mr. Jordan. I understand, I understand. The question is did any of the witnesses on this panel, have any of you reapplied or would you consider reapplying, based on the experience you have had and the experience that you have testified to. Mr. Castellanos-Contreras. Again, we are just going to have to say, as a policy of Alliance, we don't comment on individual immigration status. Mr. Raju. If you are asking me will I apply again, if it is this same way that I am coming, I have no more homes to sell or nothing else left in my life. I would not come here under this circumstance again. Mr. Jordan. If you could--and I don't care which of the witnesses takes this question--talk to me more about this recruitment process; who the recruiter is. It sounds to me like they are getting compensated basically from both sides, the potential employers are compensating the recruiter to find workers, you are having to pay to come to the United States. I know there have been some changes there, but talk to me a little bit more about that. And I know we are going to explore this issue with the second panel, but I was interested on your thoughts on the recruitment process. And we have the general gist, but if you could go into it a little bit more, I think that would be helpful. And I don't care whichever one of our witnesses wants to answer. But my time is running, so one of you jump in there. [Laughter.] Mr. Raju, go ahead, if you would like to. It doesn't matter. Mr. Castellanos-Contreras. I have personal experience and also the experience that we see daily as organizers. We have seen that the recruitment process is totally a business---- Mr. Jordan. This is a guy who is somewhat naive in all this. Is the recruiter an organization in your home country, the country you came from, your native country, or is the recruiter a company here in the United States? How is it typically done? Mr. Castellanos-Contreras. It is really a chain that starts in the United States and then comes to our countries. There are local recruiters in our home countries, and everybody is taking money from us and we are unable to recuperate anything. I repeat, it is a business. Mr. Jordan. No, I understand that. OK, Mr. Chairman. Mr. Kucinich. I thank the gentleman for his question. Actually, that is something that this subcommittee thinks is worth of a little bit closer look, because you raise an interesting point; are people raising money from both sides here. Mr. Jordan. They definitely are. Mr. Kucinich. Thank you, Mr. Jordan. The Chair recognizes Mr. Foster. Mr. Foster. This would be for Mr. Raju. Did you have difficulty contacting the Department of Labor? Is there an 800 number? Do most people in your situation have a cell phone, or is there an impediment to even making contact with anyone who will help you? Mr. Raju. Since coming to this country, we had no idea of the laws or the ways of this land. When we came here, the living conditions were horrible, and we asked for it to be improved and they said this is the living condition of this land, it is according to the laws of this land that you are living this way. We did not even know which departments exist to protect us, and we didn't have the number or information, so we were unable to contact them. Mr. Foster. Did you receive any information at all about what your rights are as a worker? Mr. Raju. No, we never got any papers or anything that said it. Sometimes in companies they say if you are harassed, you can call this number, but we never got any information like that even hanging up in the companies. Mr. Foster. One last question. Mr. Raju, can you weld aluminum? Mr. Raju. Aluminum, carbon steel, stainless steel. Mr. Foster. All right, you have my respect. Particularly aluminum. One of the most humiliating experiences of my life was trying to weld aluminum. [Laughter.] Mr. Kucinich. If the gentleman would yield, I know you are speaking not only as an amateur aluminum welder, but also as a physicist. Mr. Foster. Mr. Lopez, are you aware of any labor brokers that actually do a good job and treat their workers fairly? Mr. Lopez. I only know my own boss, and I know how he has treated me and what he has done to us. I actually only know him by name, not by face. I don't know any other bosses that have treated workers well. Mr. Foster. Mr. Castellanos-Contreras, how are these debts enforced? Are they enforced against your families back home? Are they enforced in the United States? Do you have to put all the money up front so that you become indebted to third parties? How exactly does the debt enforcement work? Mr. Castellanos-Contreras. In terms of the debt that happens to workers, you have to pay everything up front. Many in our poor countries, we don't have this kind of money, so we sell our things, we borrow money from banks, or the more common and worst case is when you get loans from loan sharks that charge huge interest rates; and all because the recruiters promise you that you are going to recuperate this money very quickly. But when you find that what the recruiter told you was a lie, your debt is growing hugely, and that is what prevents you from protesting or from raising your voice against the abuses that your boss is doing to you. Mr. Foster. Thank you. I yield back. Mr. Kucinich. Thank you, Mr. Foster. I want to thank the witnesses for taking time to share your experiences with this subcommittee. It is clear that the Department of Labor failed to adequately protect your rights. When people come to this country and use a legal process to get here, they should be entitled to the protections of law. You were not. The recommendations you have provided for how the Department of Labor can better ensure guestworkers' rights are insightful, and this committee will continue to press the Department of Labor to take actions that will protect the rights of workers. In many ways, I believe workers' rights are human rights. Yo creo es muy importante para los derechos de los trabadores. So I thank you very much for being here and the first panel is dismissed. Let's go to the second panel. Mr. Castellanos-Contreras. Thank you. It is time to hope. Mr. Kucinich. As the second panel is getting into place, I would like to begin the introductions of the second panel. We have Mr. Saket Soni, co-founder and organizer for the New Orleans Workers' Center for Racial Justice and a member of the Advancement Project, the Workers' Justice Center for Racial Equality and the New Orleans Workers' Justice Coalition, which is an independent community-based organization advocating for and organizing workers in post-Katrina New Orleans. Mr. Soni also works to bring together immigrant Latinos and displaced New Orleaneans. He is co-author of a book called ``And Injustice For All, A Comprehensive Documentation of the Conditions for Workers in Post-Katrina New Orleans.'' Ms. Mary Bauer is the director of the Southern Poverty Law Center's Immigrant Justice Project, now located in Atlanta, GA. The Immigrant Justice Project represents guestworkers and other low-wage immigrant workers in high-impact cases in nine States in the south. Ms. Bauer is the author of ``Close to Slavery: Guestworker Programs in the United States,'' published in 2007, and ``Under Siege: Life for Low-Income Latinos in the South,'' published in 2009. Prior to joining the Southern Poverty Law Center, she was legal director of the Virginia Justice Center for Farm and Immigrant Workers and legal director of the Virginia ACLU. Catherine Ruckelshaus is legal co-director at the National Employment Law Project in New York City. Her primary areas of expertise on behalf of low-wage workers are the labor and employment rights of contingent and immigrant workers. Ms. Ruckelshaus co-founded the National Wage and Hour Clearinghouse dedicated to advancing labor standards for all workers. Among recent cases, Ms. Ruckelshaus was lead counsel in the class action Ensumana v. Crestedas, a Fair Labor Standards Act case brought on behalf of nearly 1,000 West African immigrant grocery delivery workers against the contracting services who hired them and stores who employed them. That case netted over $6 million in unpaid wages for the workers. Patrick A. McLaughlin is a Ph.D. research fellow at the Mercatus Center at George Mason University, which he joined in the summer of 2008. He was previously a graduate research fellow at the Property Environmental Research Center. Dr. McLaughlin's research interests include environmental and homeland security regulations. Some of his current research is particularly focused on the consequences of regulatory actions on small business, foreign direct investment, and trade flows. He has been published in World Economy and Regulation Magazine. I want to welcome this distinguished panel of witnesses. It is the policy of the Committee on Oversight and Government Reform to swear in all witnesses before they testify. I would ask that you now rise and raise your right hands. [Witnesses sworn.] Mr. Kucinich. Let the record reflect that each of the witnesses answered in the affirmative. Thank you for being here. Mr. Soni, let's start with your testimony. I would again remind the witnesses that your entire testimony will be included in the record of this hearing. I ask that you try to keep your testimony to around 5 minutes or under 5 minutes. That would be appreciated. Please proceed, Mr. Soni. STATEMENTS OF SAKET SONI, EXECUTIVE DIRECTOR, NEW ORLEANS WORKERS' CENTER FOR RACIAL JUSTICE; MARY BAUER, DIRECTOR, IMMIGRANT JUSTICE PROJECT, SOUTHERN POVERTY LAW CENTER; CATHERINE RUCKELSHAUS, LEGAL CO-DIRECTOR, NATIONAL EMPLOYMENT LAW PROJECT; AND PROFESSOR PATRICK A. MCLAUGHLIN, PH.D., MERCATUS CENTER AT GEORGE MASON UNIVERSITY STATEMENT OF SAKET SONI Mr. Soni. Chairman Kucinich and members of the subcommittee, thank you for the opportunity to speak about how the exploitation of guestworkers continues to be a critical building block of the post-Katrina reconstruction. I also want to thank you for this opportunity to talk about how this exploitation has been directly enabled by the inadequate response and, indeed, the abject absence of the Department of Labor Wage and Hour Division. My name is Saket Soni. I am the executive director of the New Orleans Workers' Center for Racial Justice. In 2007, we founded the Alliance of Guestworkers for Dignity, the only organization in theUnited States that is membership driven, that brings guestworkers together on H-2B visas across many industry sectors and countries. Our members come from around the globe, including the Dominican Republic, Mexico, Peru, El Salvador, Brazil, Bolivia, and India. In the last 3 years, we have had hundreds of consultations, conversations, and interviews with guestworkers facing severe labor exploitation in a vacuum of Federal worker protections. Our members have organized and exposed exploitation within this program. Since Hurricane Katrina, hundreds of our members have also brought four major lawsuits against employers whose abuse is exemplary of the realities of this guestworker program. Earlier, on the last panel, you heard the testimonies of three of our members. I would like to start by sharing with you some of the stories of our members that illustrate the severe exploitation that they face and that expose the pattern of abuse that is pervasive in the guestworker program. You all know, of course, the story of Decatur Hotels. Decatur imported workers from Peru, Bolivia, and the Dominican Republic to come to the United States. These workers arrived heavily in debt and faced exploitative conditions. They also faced threats for raising their voice. Patrick Quinn, the luxury hotelier who brought these workers from these countries, did it at a time when hundreds of thousands of American workers, African-American workers were displaced from the region and when hundreds of unemployed African-American survivors of Hurricane Katrina were living in his hotels. At this time, the Department of Labor certified him to bring guestworkers, agreeing with him that he couldn't find a single U.S. worker willing or able to take these jobs. If Mr. Quinn had wanted to hire U.S. workers, all he would have had to do would be to go to one of the floors of any one of his hotels and knock on the door. Instead, he brought workers to do $14 and $12 an hour jobs at just above $6 or $7 an hour from Latin America on H-2B visas. Meanwhile, guestworkers in Mississippi and Texas who were brought from India escaped a situation of severe labor exploitation and, along with other organizations, brought legal suit in Louisiana against Signal International and an international recruitment chain that plunged these workers into debt, brought them here, and exposed them to exploitative conditions. In Tennessee, while an economic crisis engulfed families in the south, a company called Cumberland Environmental Resource defrauded both the U.S. Government and guestworkers to bring them here. They said there would be work in Tennessee. The workers were brought and for 3 months there was no work. The workers were then leased across the south in several States, astonishingly, even at military bases. Meanwhile, Cumberland represented to the U.S. Government that local workers had applied for the jobs, but, when they had been offered the jobs, had turned them down. When we interviewed the local workers who had applied for these jobs, every one of the interviewees said that they were in a state of economic desperation when they applied and they would have gladly taken those jobs. Every one of our interviewees said that, if the jobs had been offered to them, they would have taken them. The reality is, though, that these U.S. workers could not have taken the jobs at the wage rate offered and on the terms and conditions offered by the company. These stories reveal a pattern of abuse and they illuminate a structure of exploitation, and I would like to unpack a little bit what hundreds of our members have reported as the salient features of exploitation within the guestworker program. Mr. Kucinich. The gentleman's time has expired. Mr. Soni. OK. Mr. Kucinich. Your complete testimony will be included in the record of this hearing, and we thank you for being here and for making this presentation. But I will assure you that everything that you present to this committee is going to be analyzed and followed up on. Mr. Soni. Thank you. [The prepared statement of Mr. Soni follows:] [GRAPHIC] [TIFF OMITTED] T1324.026 [GRAPHIC] [TIFF OMITTED] T1324.027 [GRAPHIC] [TIFF OMITTED] T1324.028 [GRAPHIC] [TIFF OMITTED] T1324.029 [GRAPHIC] [TIFF OMITTED] T1324.030 [GRAPHIC] [TIFF OMITTED] T1324.031 [GRAPHIC] [TIFF OMITTED] T1324.032 [GRAPHIC] [TIFF OMITTED] T1324.033 [GRAPHIC] [TIFF OMITTED] T1324.034 [GRAPHIC] [TIFF OMITTED] T1324.035 [GRAPHIC] [TIFF OMITTED] T1324.036 [GRAPHIC] [TIFF OMITTED] T1324.037 [GRAPHIC] [TIFF OMITTED] T1324.038 Mr. Kucinich. Ms. Bauer. STATEMENT OF MARY BAUER Ms. Bauer. Thank you, Mr. Chairman and members of this committee for inviting me to speak about DOL's role in protecting H-2B guestworkers. You have heard substantial testimony today about the abuses endemic in this program. I have personally represented and interviewed thousands of guestworkers over the course of my career and can certainly confirm that our experiences representing H-2B workers reveal that the program is deeply flawed. Further, it is clear that the flaws in this program are not the product of a few bad apple employers, but are the product of the very structure of the program and the utter failure of the Department of Labor to take action to protect these workers. None of the significant protections that have existed, at least on paper, for H-2A workers, for example, have been adopted relative to H-2B workers, as the Department of Labor has never promulgated substantive labor protections for H-2B workers. So there is no requirement for free housing in the H- 2B context, no requirement that housing be decent, and when they are abused on the job, H-2B workers are not even eligible for federally funded legal services. Under this system, workers lack the real ability to combat exploitation. Historically, the Department of Labor has taken the position that it could not enforce the H-2B contract. Thus, in their view, if a worker was promised a prevailing rate wage of $12 an hour, but paid only the Federal minimum wage, the DOL would take no action. We believed that this analysis was simply wrong, but we are heartened that there has been a formal delegation from DHS to DOL to permit DOL to enforce the H-2B provisions. Nonetheless, we should acknowledge the inadequate job DOL has done historically in protecting guestworkers under the statutes, such as the Fair Labor Standards Act and the Migrant and Seasonal Agricultural Worker Protection Act, where it has always conceded that it did have the authority. In recent years, for example, when DOL has asked how many investigations of H-2B employers they have conducted, they simply cannot answer that question, respond they don't keep records in those ways. Our experience is that they undertake very few investigations, and when they do they tend to be limited in scope, with little relief for workers. In our written testimony we laid out some of these examples where the Department of Labor conducted an investigation, issued a modest civil money penalty, waived that penalty in its entirety when the company promised to comply with the law. We came along several years later, filed a class action lawsuit, got that class action certified, won a summary judgment decision, and obtained an expert evaluation of the records that found that major discrepancies were apparent on the face of those records and that workers had been cheated out of something like $20 million. All of this would have been apparent to the Department of Labor had they conducted a full investigation of that company. Unfortunately, the poor track record of protecting H-2B workers is not limited to one administration or to one party. For example, the Department of Labor has historically taken the position that the one-time travel and recruitment costs of migrant workers cannot cut into workers' wages in such a way that caused them to earn less than the minimum wage in the first week of work. This has been the position of the Department of Labor since before 1970. This is an incredibly important rule under the Fair Labor Standards Act to protect guestworkers. However, during the 1990's, the DOL announced that, while this was still the stated position of the administration, they were adopting a non-enforcement position and the Department would decline to enforce this critical part of the law. Worse, the Bush administration tried to actively subvert the law by attaching a preamble to midnight regulations which went into effect in January 2009. This preamble purported to undue more than 30 years of policy and law in one fell swoop and was never subjected to notice and comment. The regs that were enacted by the Bush administration eviscerated the very few protections which did exist for H-2B workers. Those regs should simply be repealed and the Department should promulgate true substantive labor protections which would serve to protect guestworkers and U.S. workers in the industries which employ H- 2B workers. This deeply troubled program requires oversight by Congress. Specifically, we would ask that Congress hold additional hearings on the issue related to the administration of the guestworker programs, and we are heartened that the Secretary of Labor will be back to testify about plans for this administration. In conclusion, the abuses of these programs are too common to blame on a few bad employers; they are the foreseeable outcome of a system that treats foreign workers as commodities to be imported, without providing them adequate legal safeguards. Thank you. 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OMITTED] T1324.322 [GRAPHIC] [TIFF OMITTED] T1324.323 [GRAPHIC] [TIFF OMITTED] T1324.324 [GRAPHIC] [TIFF OMITTED] T1324.325 [GRAPHIC] [TIFF OMITTED] T1324.326 [GRAPHIC] [TIFF OMITTED] T1324.327 [GRAPHIC] [TIFF OMITTED] T1324.328 [GRAPHIC] [TIFF OMITTED] T1324.329 Mr. Kucinich. Thank you very much, Ms. Bauer. Ms. Ruckelshaus. STATEMENT OF CATHERINE RUCKELSHAUS Ms. Ruckelshaus. Thank you, Mr. Chairman and members of the committee. I appreciate the opportunity to speak today and thank you for holding this hearing. My name is Cathy Ruckelshaus. I am the legal director at the National Employment Law Project. We are a nonprofit that specializes in access to and keeping good jobs for all workers. We work closely with low wage and immigrant workers, community-based organizations and their advocates, in addition to State labor departments to promote good models for enforcement of labor standards. In our basic work, two trends have emerged recently which touch upon my recommendations today. First, in light of the moribund Federal Department of Labor Enforcement, State departments of labor and State attorneys general have stepped into the void. They have launched innovative and effective enforcement programs, including State departments from both Ohio and Illinois, and the models they have enacted I think are good models for us to tap into for Federal reforms. Second, following the virulent last 18 months of the Bush administration's workplace immigration raids, immigrant workers and other low wage workers have virtually stopped coming forward to complain. There is so much fear out there that the complaints simply aren't coming in. Because we have a complaint-driven system in our society, that means enforcement cannot happen because workers are not coming forward to complain. My brief remarks this morning are in more detail in the written prepared testimony, but they will reflect these two trends. For 20 years, I have worked with communities of low income workers in dozens of job categories to ensure that they get the basics. More and more, immigrant workers are not coming forward to complain, and there is no one to complain to. The testimony we have heard this morning is just a handful of examples of a larger trend that affects not only the guestworkers and their families, but other workers in the same job categories, and other employers who have to compete with these same employers who are perpetuating these sub-par jobs. The problem is so deep-seated, it touches jobs you see everyday: the janitors who clean this building; the housekeepers, home care and child care workers who tend our homes and our loved ones; servers in the cafeteria in this building; housekeeping staff in hotels; construction workers who build and repair these buildings; and the landscapers I passed this morning on my way to the hearing. These jobs do not have to be bad jobs with low pay. They are growth service sector jobs that could be helping create a new middle class, with good pay and benefits. We can restore the promise of economic opportunity for these workers and their families by making sure these jobs pay. The Department of Labor. Three GAO reports in less than 1 year make the point loud and clear the Wage and Hour Department of the U.S. Department of Labor is not effective. A decade of declining resources has not, surprisingly, resulted in a decrease in enforcement by one-third, while the number of covered businesses has increased to over 8 million. Wage and Hour Division has recently relied almost exclusively on worker complaints to conduct its enforcement. When this strategy exists in the context of immigration raids in the workplace, it comes as no surprise to us that the complaints didn't come and enforcement didn't happen. Some other highlights from these recent GAO reports I think are worth noting. These are basic problems. The Wage and Hour Division did not consistently log in worker complaints, in some regions didn't even log in a complaint until there was a successful resolution of a complaint. There is no way to measure progress or hold the Department accountable if that information is not available. Delays for workers who did manage to come forward and complain were common and sometimes lasted as long as 6 months. Some offices only had voice mail, and some didn't even have voice mail. These are all detailed in the GAO reports that have come out in the last year. Another problem is that the Wage and Hour Division did not seek any liquidated damages or extra penalties, so that if it did capture a complaint and get an employer to pay, the employer just paid what it would have paid the employee had it paid her correctly in the beginning. So now what about a DOL renaissance? If only employers were as afraid of the DOL as we are of the IRS, then we would get some traction. Much of the reform proposals listed in my prepared testimony have been enacted by the Department of Labor in the past. They are very simple and they can send an important and strong message. Secretary Solis recently noted there is a new sheriff in town. Well, here is how we think she can enact that message to employers: First, don't just rely on worker complaints. Department of Labor has done this before; it has targeted problem industries with audits and investigations. Department of Labor had a salad bowl initiative that looked at agriculture; it looked at nursing homes, affirmatively auditing and investigating. This was very effective and it can do it again easily. It should use its joint employer powers to go up the food chain when there are multiple subcontractors, as there are in guestworker programs, and it has done it in the past in agriculture and garment cases, where it holds other employers and subcontractors accountable for the abuses. It can share information on violations with State and Federal partner agencies, including the Internal Revenue Service, who cares about independent contractor and off-the- books payments. It also can share with State Departments of Labor. Maryland, Illinois, Ohio, and New York are among some of the States that are already doing this. Any sharing of this information has to include a firewall between the ICE, the Immigration Service and Department of Labor. We heard this morning that---- Mr. Kucinich. The gentlelady's time has expired, but what I would like to do is if you would just wrap it up in a couple of sentences. Ms. Ruckelshaus. OK, sorry. OK, sure. I have a long list and I am not through it, but what I will just say is that guestworkers and other immigrant workers cannot police their work forces alone. The Department of Labor is the front-line agency charged with making work pay, and together we can work to make this happen. Thank you. [The prepared statement of Ms. Ruckelshaus follows:] [GRAPHIC] [TIFF OMITTED] T1324.330 [GRAPHIC] [TIFF OMITTED] T1324.331 [GRAPHIC] [TIFF OMITTED] T1324.332 [GRAPHIC] [TIFF OMITTED] T1324.333 [GRAPHIC] [TIFF OMITTED] T1324.334 [GRAPHIC] [TIFF OMITTED] T1324.335 [GRAPHIC] [TIFF OMITTED] T1324.336 [GRAPHIC] [TIFF OMITTED] T1324.337 [GRAPHIC] [TIFF OMITTED] T1324.338 [GRAPHIC] [TIFF OMITTED] T1324.339 [GRAPHIC] [TIFF OMITTED] T1324.340 [GRAPHIC] [TIFF OMITTED] T1324.341 Mr. Kucinich. I thank the gentlelady. Your entire testimony will be included in the record. Also, staff is going to take note of your suggestions, and we are preparing a memo to the Department of Labor, which will include not just the suggestions, but some suggestions from our staff about how we can be more effective in protection of the rights of guestworkers. Ms. Ruckelshaus. Thank you. Mr. Kucinich. The Chair recognizes Professor McLaughlin for 5 minutes. Thank you for being here, and you may proceed. STATEMENT OF PATRICK A. MCLAUGHLIN Mr. McLaughlin. Chairman Kucinich, Ranking Member Jordan, and distinguished members of the committee, it is a privilege to be asked to testify in this forum today regarding the H-2B guestworker program and consideration of the Department of Labor's enforcement of policies related to guestworkers. My name is Patrick McLaughlin, and I am a research fellow at the Mercatus Center at George Mason University. I have been invited to share my opinion of what economic effects we should expect if the United States mandated that employers must pay certain employee benefits for H-2B workers. I have two main points to make on this topic. First, mandating benefits for H-2B workers, while well intended, will have unintended consequences. Second, if the goal is to help H- 2B workers avoid possible exploitation, then a free agent model that empowers H-2B workers to switch employers can accomplish this goal while avoiding those unintended consequences. Consider the possibility of mandating that employers pay some benefits for H-2B workers. Regardless of the specific nature of the mandated benefit, the effect is always that employers are forced to pay more for each worker they hire. Some or all of these costs may be shifted onto the employee in the form of lower wages. There are two possible scenarios that could result from mandating benefits for H-2B workers that I will discuss. To make these scenarios somewhat more concrete, suppose that the mandated benefit in question is inbound transport costs, that is, what would occur if employers were required to pay the cost for the employee to travel to the work site. First consider those employees being paid more than minimum wage or the required prevailing wage. The papers I examined on mandated benefits consistently present the same message: the beneficiaries of the mandated benefits mostly end up paying for the benefits in the form of lower wages. This scenario can only occur, of course, if wages can't be lowered. Minimum wage or prevailing wage requirements may prevent this. The second scenario is this: employers are legally prevented from offering lower wages to H-2B workers. If minimum wage or prevailing wage requirements mean that wages cannot be lowered, then the results are fairly straightforward from an economic perspective: firms will seek out workers with lower benefit costs. Wage rigidity such as minimum wage decrease the ability of the firm to pass along the cost of mandated benefits to employees and can lead to greater unemployment. As Larry Summers put it, ``Suppose that there is a binding minimum wage. In this case, wages cannot fall to offset employers' costs of providing a mandated benefit, so it is likely to create unemployment.'' In the second scenario, the effect would be that potential employees that are geographically distant would be less likely to be hired compared to potential employees that are physically closer or compared to employees who circumvent legally mandated benefits, such as illegal immigrants. This suggests two implications of mandating benefits. First, while those workers who receive the mandated benefits will be made better off, some employers may opt to hire fewer H-2B workers because they now cost more. As a group, it is not clear that H-2B workers are made better off. While those lucky enough to get jobs with benefits may be better off, there will be less jobs to go around. Second, employers may choose to replace them with native workers or illegal immigrant workers. So while one consequence of mandating benefits for H- 2B workers may be to make native workers relatively more competitive, another presumably unintended consequence would be to increase demand for illegal immigrant workers. Finally, if the goal is to extend more benefits for H-2B workers or to at least avoid exploitation, one other policy that should be explored is the free agent model, that is, allowing H-2B workers to transfer their H-2B visa from one employer to another. This would encourage employers to compete for their services. If demand for H-2B workers is greater than the available supply which is constrained by the H-2B visa cap, a free agent model would allow employers to bid for employees' services so that employees will end up in the job that is highest value to the economy and highest paying to the employee. I thank you again for inviting me here today. [The prepared statement of Mr. McLaughlin follows:] [GRAPHIC] [TIFF OMITTED] T1324.342 [GRAPHIC] [TIFF OMITTED] T1324.343 [GRAPHIC] [TIFF OMITTED] T1324.344 [GRAPHIC] [TIFF OMITTED] T1324.345 [GRAPHIC] [TIFF OMITTED] T1324.346 [GRAPHIC] [TIFF OMITTED] T1324.347 [GRAPHIC] [TIFF OMITTED] T1324.348 Mr. Kucinich. We thank you very much for being here. We are going to move to questions of our second panel. I would like to start with Mr. Soni. Have you seen any improvement in the amount of staff and resources available to the Department of Labor's New Orleans office and Gulf Coast region since our hearings in 2007? Mr. Soni. We have not seen any significant increase or improvement in staff capacity, and we have certainly not seen any improvement in staff outreach or staff contact with the community since the last hearing, Mr. Chairman. Mr. Kucinich. Ms. Bauer, given your work on guestworker issues nationally, the testimony that you heard today, do you think that it reflects the problems in the guestworker program nationally or are these aberrations and just sensational stories that do not really reflect the conditions that are going on? Ms. Bauer. I think there is no doubt that these are problems that are the product of the structure of this program. The cases we have been involved in, many of them are national class actions, workers working not just in the south, but the northwest, all over the country, and they report the identical kinds of problems that flow from this program. Mr. Kucinich. In your testimony, you attached as an exhibit an article and study by the Economy Policy Institute which found that in seven occupations with the most H-2B workers, unemployment was higher and had risen faster than the national average, while wages were lower and risen more slowly than the national average. Now, the Institute attributes this to the H- 2B program, allowing employers to look overseas for workers who are willing to take lower wages. Do you agree with this conclusion and what are the steps that the Department of Labor needs to take in its certification process to ensure that the H-2B program does not lower wages for U.S. workers? Ms. Bauer. I do agree with that conclusion, and I think EPI did an excellent job in showing very concrete examples where workers were being paid and getting certified at dramatically less than the prevailing wage rate. One of the problems I think that we are looking at is that, in 2005, the Department of Labor changed the methodology for determining the prevailing wage rate and wages plummeted $2 to $3 per hour, sort of in a typical case, as a result of that change in methodology. The Department of Labor needs to look at the way--and I would suggest Congress needs to provide oversight for that process--at the way the prevailing wage is being calculated. We have seen many examples where people are earning significantly less than the minimum wage, and the jobs are getting certified just at the minimum wage when workers are being paid on a piece rate system. Mr. Kucinich. Thank you. Ms. Ruckelshaus, do you believe the lack of enforcement of rights of guestworkers had contributed to low wages? Ms. Ruckelshaus. I think the lack of enforcement generally has contributed to low wages. I think guestworkers are a microcosm of the problem that are endemic in all of these low wage service sector jobs where there just isn't any enforcement. So I guess the answer is yes, but it is not specific to guestworker problems. Mr. Kucinich. Well, in your written testimony you state that the abuse of guestworkers is bad for the economy at this moment in time. Certainly, everyone here is concerned with improving the economy. Can you explain this statement and give us a better understanding of how improving the treatment of guestworkers helps all workers? Ms. Ruckelshaus. Yes. What I meant by that statement was that if we don't have a wage floor, it means that employers have to compete against other employers with sub-par jobs. That hurts other workers in the same sector, and even in related sectors. It is bad for the workers and their families because they can't make ends meet. The minimum wage in this country is ridiculously low and the annual income that it generates simply isn't enough to live on. Third, it hurts our State and Federal coffers because there are payroll taxes not being paid, there are all sorts of other insurance not being paid. So it is a vicious cycle. It is not bringing anybody out of poverty. Mr. Kucinich. Thank you. Just a final question to Professor McLaughlin. I noted that you sat here and heard the testimony of the previous panel. Do you have any opinion on the Department of Labor's failure to curb the abuses of guestworkers that we have heard testimony about today? How does that sound to you as you were just sitting there in the audience? Does it make you feel one way or another about the plight of these workers? Mr. McLaughlin. I am sure that everyone in the audience, including myself, felt some sympathy for the plights of the workers. However, I am not certain whether the fundamental problem here is the Department of Labor's enforcement or lack of enforcement. What I think is the fundamental problem is the inability of the H-2B worker to be able to quit one work when he is in a situation he doesn't like and go work for another employer. Mr. Kucinich. Well, we appreciate your being here to testify. We really do. I am going to now turn to Mr. Jordan, the ranking member, for 5 minutes of questioning. You may proceed, Mr. Jordan. Mr. Jordan. Mr. Soni, one of the things I want to get clear from your testimony that I thought was interesting, you talked about, after Katrina, many displaced residents at the hotel, and yet the Department of Labor approved the owner of the hotel bringing in guestworkers when there were lots of unemployed people--I think that was maybe your exact words--right there in the facility that the individual owned. To your knowledge, was the Department of Labor even asked the question why don't we start employing the folks who are right here, displaced people? Was that even brought up? Mr. Soni. Well, to my knowledge, the Department of Labor did not really play a role for 3 years post-Katrina, and from enforcing the most basic wage and hour violation laws to asking the bigger questions that you are pointing to, why is one group of workers being locked out of post-Katrina New Orleans jobs while another group of workers is brought in and exploited. That was certainly not a question that was asked by the Department of Labor. It was certainly a question asked by hundreds of workers living unemployed in the hotels, as well as a question asked by hundreds of guestworkers brought to those hotels. Mr. Jordan. I think you have all testified, and the first panel certainly, about the failure--the chairman's words in his opening statement were utter failure--of the Department of Labor. I think Ms. Ruckelshaus talked about over 10 years. So we are talking about the Clinton administration, the Bush administration, and the current administration, at least for 3 months. Yet, some of you say you think it is a good move that DHS is moving that portion of the program to the Department of Labor. Do you really think, at the Department of Labor, things are going to get better? Ms. Ruckelshaus. I will start. I think what we need to do is smart enforcement. So assuming there is always going to be not enough resources to do enforcement, the strategies have to be smart and make an impact. So collaboration, partnering, leveraging what we have, that is what I think has to change; and it seems there is a glimmer of hope in this administration that can start to happen. Mr. Jordan. Let me go quickly to one other thing. I want to bring up the professor's point, the free agent concept. To me, that does seem like, when you talk about worker empowerment, putting aside the problems that have been outlined here and experienced with the recruiters and the lack of enforcement from the Department of Labor, your thoughts on that concept, the free agent concept that the professor has brought up. Mr. Soni. Well, I would say that there are four levels at which intervention has to be made in order to empower guestworkers and make the Department of Labor relevant to the lives of guestworkers. First of all, there has to be an intervention at the level of debt. Whether or not workers are a free agent, if they come to the United States indentured to a large debt, it will not help them move from one shipyard to another. Second, there has to be intervention at the level of workers being tied to one employer, which is what the gentleman is addressing. That, however, can easily break down in the present state that shipyards, the service industry, and other industries across the south exist. There would have to be a real compliance with that rule. The third thing I would say is that workers at the moment are very clear that their legal status is tied to their employment. During periods of unemployment, for example, what is a worker to do? He can't come forward and report labor abuse if he doesn't have the next employer to go to. Mr. Jordan. Obviously, if there was a change, there would have to be an education component involved. Ms. Bauer, you haven't spoken yet. Go ahead. Ms. Bauer. Well, we agree that having a visa be portable to another employer would be an incredible improvement in this program, and if that is coupled with a serious regulation of recruitment and travel costs, that would make an enormous difference. Mr. Jordan. Do you really think we can get at the recruitment issue? Because it strikes me as we can say the individual seeking to come here can't--someone can't collect a fee from them, but there is going to be that incentive, it seems like to me, for folks in their native country wanting to unfortunately exploit them and take some money. Ms. Bauer. Well, that happens. There is no doubt that happens. The question is is the employer who chooses that recruiter responsible. If that happened in the United States, there is no doubt that if an employer's workers are demanding kickbacks from other employees, that the employer is going to be on the hook for that. Mr. Jordan. Let me ask one other quick question. I have 30 seconds. And any of you can grab this. This is just a general I don't know kind of thing. What kind of background check is done on the H-2B applicants? Because in the earlier panel we heard that one--and I forget, maybe it was Mr. Lopez--worked on a military base. So what kind of background checks are done for these individuals, how extensive? Ms. Bauer. It is very minimal. People have to submit--the thing that the State Department is largely concerned about is to make sure that people do not overstay visas. That is the level of inquiry. So the question is have you overstayed visas in the past. That is the inquiry that is going on. Mr. Jordan. OK. Thank you. Mr. Kucinich. If I may, to my colleague, it seems that the only qualification is someone's willingness to work for cheap wages, or maybe to put themselves in a position where they are not even going to get paid, which is abhorrent. The Chair recognizes Mr. Foster. Mr. Foster. When I listen to the descriptions of the problems with the wage nonpayment and cheating, as well as tax fraud and minimum wage violations, this sort of stuff, I wonder if there is any merit or if it has ever been considered to have a third party hold the wages in escrow or perhaps post a bond so you know the wages will be actually there, or maybe have a third party perform the payments so that actually there is some record of this. Are there any initiatives along those lines that would at least guarantee--it seems to me that would have two merits, one of which would be it would prevent a deal from getting struck which relied on the employer's intention to not really pay these people properly, that would just discourage it from the start. I wonder if there are any sort of initiatives along those lines that have been contemplated. Anyone. Ms. Bauer. I do not believe such initiatives exist. We suggested in our report that employers should be required to post a substantial bond to guarantee that there would be money to pay workers. I know of no serious proposals at the national level that would make that happen. Mr. Foster. OK. In regards to this discussion of the free agent model, is there a way that any of you see to prevent an abuse from having people basically have some determination that there is a shortage of workers in some area, in some region, and then if you really have free agents, they will immediately jump to some other region, some other industry, and it won't be two equivalent shipyards interchanging. Isn't that a real complication with this? That when you said, OK, I want to go to this other employer, you would have to say, OK, now, is this employer in a similarly situated labor market. Ms. Ruckelshaus. I think if you do have visa portability, you have to change some of the fundamental premises of the program, because then it is not necessarily no longer this employer who needs guestworkers who can't find other workers here in this country. Mr. Soni. There really needs to be an industry assessment and a geographic assessment of industry sectors and geographies that need temporary workers. There would probably be a way to construct the ability of workers to move back and forth within those sectors. The thing that hundreds of members of our organization will testify to, though, is that without the ability to change from one employer to the other, they have no ability to negotiate and they have no leverage with their employers. Ms. Bauer. If I might, former Secretary of Labor Ray Marshall has suggested the creation of a kind of independent agency to determine need in just this kind of circumstance. That would not be an employer-driven agency, but that would be a U.S. agency that would evaluate whether seasonal workers were really required and where. Mr. McLaughlin. If I may also comment on that briefly. It seems like it is fundamentally an engineering and information problem that you are addressing. The incentives for both the employers and employees are obviously well addressed when the free agent model is adopted. Now, the complications of adopting that model I think have been, to some degree, addressed previously, how do you get the information about where free agent employees are to potential employers. But I don't think that changes the fundamental incentives. Mr. Foster. Well, I must say I found your attraction for this free market concept, that somehow we have agents with perfect information and perfect language skills and everything else that would be necessary for that to happen sort of interesting. I was wondering, in terms of the--I was disturbed by the failure to even log in complaints that was mentioned, I guess, by Ms. Ruckelshaus, and I was wondering if some sort of daylight or public scrutiny is relevant there. I don't know if these have to be private complaints, or would it be all right with the typical complainee if they actually just sat there and dumped it on the Internet so that this was visible to everyone that this was an unresolved complaint? Ms. Ruckelshaus. I think it is deeper than that because there is nothing even there to post up on the Internet right now, because the offices aren't collecting the most basic intake information. That is the first step, is just to get them to log in what the complaint is and what the claim is. Then there would be a question of how much--there are proposals to put employers scoff law employers up on the Web so that employees can see, oh, I am owed money or he has already paid money for me. So I think there are privacy concerns, but those can be dealt with. Government agencies get data. Your offices have constituency data coming in all the time from calls from constituents. We are talking about really basic simple stuff that I think shouldn't be a problem. Mr. Foster. Do you know if the Department of Labor maintains a publicly searchable data base of debarred employers or people who have abused or defrauded employees? Ms. Ruckelshaus. The prevailing wage section of it does, but the other parts do not because the data is not there. Mr. Foster. OK. Thank you. I yield back. Mr. Kucinich. I want to thank the witnesses on this panel. Your testimony is something that each member of this subcommittee will take careful note of. Our staff will pore over it to come up with recommendations to the Department of Labor. I want to thank each and every member of this panel for their presence here and for their thoughtful testimony. I would like you to know that this subcommittee will retain jurisdiction over this. I have talked to the ranking member, and we are going to look for ways that we might be able to make joint recommendations to the Department of Labor. I also want to say, as the chairman of this subcommittee, the people who were involved in the offenses, who have apparently not yet been called to legal accounting, this subcommittee will continue to look at the process that has caused them to escape accountability. I am Dennis Kucinich, chairman of the Domestic Policy Subcommittee of the Oversight and Government Reform Committee. I am joined by the ranking member of the committee, Representative Jordan of Ohio, and, of course, we are with Mr. Foster from Illinois, who has been here throughout this hearing. This has been a hearing of the subcommittee on the H- 2B Guestworker Program and Improving the Department of Labor's Enforcement of the Rights of Guestworkers. This is one of a series of hearings by this subcommittee on this subject. I want to thank each and every one of the members of the panel and the previous panel for their testimony. I thank you very much for your presence here today. This subcommittee stands adjourned. [Whereupon, at 12:04 p.m., the subcommittee was adjourned.] [The prepared statement of Hon. Elijah E. Cummings follows:] [GRAPHIC] [TIFF OMITTED] T1324.349 [GRAPHIC] [TIFF OMITTED] T1324.350